Suppose you run a pizza shop and currently have two employees. If you hire a third employee, your output of pizzas per day rises from 55 to 65. If you hire a fourth employee, output rises to 80 per day. A fifth and sixth employee would cause output to rise to 100 and 115 per day, respectively. Pick the correct statement:

Question

Accepted Answer

Diminishing returns set in with the hiring of the sixth worker.

Answer

Diminishing returns set in with the hiring of the fourth worker.

Answer

Diminishing returns set in with the hiring of the fifth worker.

Answer

Diminishing returns set have NOT yet set in because output is still increases.

Answer

none of the above

Crowdly

Suppose you run a pizza shop and currently have two employees. If you hire a thi...

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